Layaway plans are a way for customers to pay for purchases in installments. They were developed by retailers as a service to their customers who cannot always afford to pay for large purchases all at once. With a layaway plan, the customer picks out the item or items he or she wants to purchase and pays a percentage of the total cost as a down payment. The customer agrees to make weekly or bi-weekly installment payments until the purchase is paid in full. The merchant removes the items from the selling floor so that others can't purchase them, but the customer can't take possession of the items until the purchase is paid in full. If the customer fails to make payments on time or cancels the layaway plan, the merchandise is returned to the selling floor and the customer can receive a refund for all payments besides the first payment made.

How Do Layaway Plans Benefit Customers?

A layaway plan makes it easy for a customer to make larger purchases. A regular installment payment can be fit into the household budget. Unlike credit cards, customers who use layaway plans pay no interest fees because they are not borrowing money to pay for purchases. Using a layaway plan lets a customer "reserve" a purchase when the item is available, or when it is at a special sale price.

What Are the Costs of Using Layaway?

Our layaway cost to all customers is FREE. A percentage down and bi-weekly payments is all we ask.